Skylink Express is done.

[boeingboy]

Looks like Skylink is bankrupt. I was looking for info on the UPS contract outcome as rumors were that they did not get it renewed - then I found this on the web:

https://insolvencyinsider.ca/p/skylink-express-inc-ccaa

Its from last week saying that they were insolvent, and that they owed $14 million - but proceedings were put off pending the outcome of the negotiations with UPS. From the sounds of it - it doesn't look good.

Can anyone confirm this?

[JungleRiot]

Good riddance

[JungleRiot]

Looks like Skylink is bankrupt. I was looking for info on the UPS contract outcome as rumors were that they did not get it renewed - then I found this on the web:

https://insolvencyinsider.ca/p/skylink-express-inc-ccaa

Its from last week saying that they were insolvent, and that they owed $14 million - but proceedings were put off pending the outcome of the negotiations with UPS. From the sounds of it - it doesn't look good.

Can anyone confirm this?

[Ruger Princess]

Looks like Skylink is bankrupt. I was looking for info on the UPS contract outcome as rumors were that they did not get it renewed - then I found this on the web:

https://insolvencyinsider.ca/p/skylink-express-inc-ccaa

Its from last week saying that they were insolvent, and that they owed $14 million - but proceedings were put off pending the outcome of the negotiations with UPS. From the sounds of it - it doesn't look good.

Can anyone confirm this?

As someone who just went through this with GardaWorld (April) in Prairies region (although I still have instructing on the side - and it was a CATSA policy issue rather than insolvency) and is now watching it with Pasco, I'm sorry for you all. Tough times indeed. Hopefully everyone gets something soon

[boeingboy]

Well.....I guess thats that.

Good luck to all those affected.

[Me262]

Looks like Skylink is bankrupt. I was looking for info on the UPS contract outcome as rumors were that they did not get it renewed - then I found this on the web:

https://insolvencyinsider.ca/p/skylink-express-inc-ccaa

Its from last week saying that they were insolvent, and that they owed $14 million - but proceedings were put off pending the outcome of the negotiations with UPS. From the sounds of it - it doesn't look good.

Can anyone confirm this?

As someone who just went through this with GardaWorld (April) in Prairies region (although I still have instructing on the side - and it was a CATSA policy issue rather than insolvency) and is now watching it with Pasco, I'm sorry for you all. Tough times indeed. Hopefully everyone gets something soon

Lynx, Pasco, Skylink, all of the sudden the pilot shortage is heavily reduced. Hoping this won't affect the new contracts negotiations with AC, Encore, etc.

[RayJr]

As someone who just went through this with GardaWorld (April) in Prairies region (although I still have instructing on the side - and it was a CATSA policy issue rather than insolvency) and is now watching it with Pasco, I'm sorry for you all. Tough times indeed. Hopefully everyone gets something soon

Lynx, Pasco, Skylink, all of the sudden the pilot shortage is heavily reduced. Hoping this won't affect the new contracts negotiations with AC, Encore, etc.

It's really bad news for everyone involved. I believe that carriers folding doesn't change the amount of flights that need to be done, just the paint on the plane doing the flights. The slack will be picked up elsewhere and they will need pilots there too. Good luck everyone

[flyingcanuck]

As someone who just went through this with GardaWorld (April) in Prairies region (although I still have instructing on the side - and it was a CATSA policy issue rather than insolvency) and is now watching it with Pasco, I'm sorry for you all. Tough times indeed. Hopefully everyone gets something soon

Lynx, Pasco, Skylink, all of the sudden the pilot shortage is heavily reduced. Hoping this won't affect the new contracts negotiations with AC, Encore, etc.

It wont. AC needs 1000+ still, thats just one airline.

[cjp]

AC has just committed to a whack of new flying to go head to head with Porter. The cargo market is softening, but passenger flying is still fairly strong.

Just like the housing market, there is currently no relief to the shortage.

[ClearedDirect]

The pilot shortage isn't going anywhere.

To the detriment of small communities

[boeingboy]

At least those guys and gals can make a half decent paycheck now.

[‘Bob’]

At least those guys and gals can make a half decent paycheck now.

Yay! 58k at Air Canada!

[CaptDukeNukem]

At least those guys and gals can make a half decent paycheck now.

Yay! 58k at Air Canada!

[Big Pistons Forever]

Rumour and I emphasize it is just a rumour was that Skylink lost the contract because of poor OTP due to a severe pilot shortage. That pilot shortage was caused by the inevitable pilot attrition for this segment of the industry that was not made up for by hiring due to the poor WAWCON on offer.

If this is the case than the business case for the tier 2 and 3 freight haulers has fundamentally changed. They can't low ball contracts and then expect the pilots to save them with wage cuts.

It will be interesting to see how this plays out. If an outfit like Skylink can't do it cheap enough to keep UPS happy, I really wonder who can.

[a2btrail]

At least those guys and gals can make a half decent paycheck now.

Yay! 58k at Air Canada!

Keep joking about the 58K lol. It wont be for long.

[‘Bob’]

At least those guys and gals can make a half decent paycheck now.

Yay! 58k at Air Canada!

Keep joking about the 58K lol. It wont be for long.

Should never have been in the first place.

[Me262]

At least those guys and gals can make a half decent paycheck now.

Yay! 58k at Air Canada!

Keep joking about the 58K lol. It wont be for long.

Yes, you're right, most likely it will be 5k over what WJ is currently paying, with a bit of luck. The canadian way. I doubt the industry here will see major gains like the US had.

[JustaCanadian]

Look how fast the population is booming here.

These airlines going bust doesn't mean there's a lack of work.

No pilot shortage. Canada's population is going to double by the end of the century. If airlines don't invest in pilots and make a pathway to learn to fly there will be a shortage for decades to come.

[viccoastdog]

This link contains all of the motions, factum and more of the Skylink CCAA (essentially creditor protection). It is public.
https://www.ksvadvisory.com/experience/case/skylink
Essentially, TD Bank is owed about $14,000,000 out of a $15,000,000 kind of operating line of credit and they wanted to put Skylink in receivership. Skylink approached the courts for CBAA instead to try and renegotiate the contract with their only customer (UPS), because they were operating in the red and the contract's escalator clause wasn't adequate. However Skylink and UPS couldn't come to an agreement on a renegotiated contract, and now (30th May) the court has approved Skylink's motion to sell their assets and wind down.

Now for the rumour part: Many pilots were temporary workers hoping to get their PR. An operation who hires essentially temporary foreign workers and pays them so little deserves to go under.

[Core]

Funny, in the last 40 years it has only been the lowest paying operators that have gone under. Every time.

[alkaseltzer]

This link contains all of the motions, factum and more of the Skylink CCAA (essentially creditor protection). It is public.
https://www.ksvadvisory.com/experience/case/skylink
Essentially, TD Bank is owed about $14,000,000 out of a $15,000,000 kind of operating line of credit and they wanted to put Skylink in receivership. Skylink approached the courts for CBAA instead to try and renegotiate the contract with their only customer (UPS), because they were operating in the red and the contract's escalator clause wasn't adequate. However Skylink and UPS couldn't come to an agreement on a renegotiated contract, and now (30th May) the court has approved Skylink's motion to sell their assets and wind down.

Now for the rumour part: Many pilots were temporary workers hoping to get their PR. An operation who hires essentially temporary foreign workers and pays them so little deserves to go under.

That doesn’t make much business sense. Nobody would sponsor foreign pilots when there’s a ton of applicants for every small operator in the country who would sell their mother for the twin turbine experience. Salaries wouldn’t justify the process either.

[RAIM]

There is a massive pilot shortage in this country. They will take what they can get

[itsgrosswhatinet]

Did Pasco really go under?

[C-GGGQ]

Go under no. Lost the westjet contract and closed the calgary base yes

[goldeneagle]

Go under no. Lost the westjet contract and closed the calgary base yes

Was my understanding that's not happening until the end of the current contract, which is still a ways off, but I do suspect that if they lose folks in Calgary, gonna be hard to replace them with only a few months work left out there.